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A 10-year Treasury bond has an 8% coupon, and an 8-year Treasury bond has a 10% coupon. Both bonds have the same yield to maturity.

A 10-year Treasury bond has an 8% coupon, and an 8-year Treasury bond has a 10% coupon. Both bonds have the same yield to maturity. If the yield to maturity of both bonds increases by the same amount, which of the following statements would be correct?

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The prices of both bonds will decrease by the same amount

Both bonds would decline in price, but the 10-year bond would have the greater percentage decline in price

The prices of both bonds would increase by the same amount

One bond's price would increase, while the other bond's price would decrease

The prices of the two bonds would remain cons

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